How to account for liabilities

by | Oct 26, 2020 | Bookkeeping

Bookkeepers keep track of both liabilities and expenses, and more. The income statement is like a snapshot of the company’s earnings over a specific period, usually a quarter or a year. It shows how much money the company brought in (revenue), how much it spent...

Explaining Amortization in the Balance Sheet

by | Oct 20, 2020 | Bookkeeping

Amortization involves the gradual reduction of a financial obligation or the allocation of an asset’s cost over its useful life. The matching principle is key here, aligning expenses with the revenues they generate. This is particularly relevant for intangible assets,...